The Union Budget, tabled in the Lok Sabha by Finance Minister Nirmala Sitharaman, proposes the highest ever total annual budgetary support of Rs. 2,703.67 crores for the fisheries sector.
This overall allocation for the financial year 2025-26 has increased by 3.3 per cent in comparison to the allocation of Rs 2,616.44 crore (BE) made during last year 2024-25. This includes the allocation of Rs 2,465 crore for Pradhan Mantri Matsya Sampada Yojana during the year 2025-26 that has increased by 4.8 per cent in comparison to the allocation made for the scheme during the year 2024-25 (Rs 2,352 crore).
Ms Sitharaman, in her budget speech, highlighted India’s achievement as a leader in aquaculture and seafood exports. The budget announcement strategically focuses on enhancing financial inclusion, reducing financial burden on farmers by reducing custom duties and furthering development of the marine fisheries.
The Budget 2025-26 highlights enabling a framework for sustainable harnessing of fisheries from Exclusive Economic Zone (EEZ) and High Seas with special focus on Lakshadweep and A&N Islands . This will ensure sustainable harnessing of the untapped potential of the marine fish resources in the Indian EEZ and adjacent High Seas for growth in the marine sector.
As India has an EEZ of 20 lakh sq km and a long coastline of 8,118 km with estimated marine potential of 53 lakh tonnes (2018) and dependence of 50 lakh people for their livelihoods on the marine fisheries sector. This offers an enormous scope and potential for harnessing of high valued tuna and tuna like species in the Indian EEZ, especially around the Andaman & Nicobar and Lakshadweep Islands. Government will promote Deep Sea Fishing with capacity development and support acquisition of Resource-Specific Fishing Vessels.
Development of fisheries in Andaman & Nicobar Islands will target harnessing of its EEZ area of 6.60 lakh sq km (1/3rd of Indian EEZ) with marine fisheries potential of 1.48 lakh tonnes including potential of 60,000 tonnes for tuna fisheries. For this purpose, development of Tuna Cluster has been notified and activities such as establishment of on-board processing & freezing facilities in tuna fishing vessels, licensing for deep-sea tuna fishing vessels and single window clearances by the Andaman & Nicobar Administration, harnessing opportunities in sea cage culture, seaweed, ornamental and pearl cultivation have been undertaken.
The Development of Fisheries in Lakshadweep Islands will target harnessing of its EEZ area of 4 lakh sq km (17 per cent of Indian EEZ) and lagoon area of 4200 sq mt with potential of 1 lakh tonnes including potential of 4,200 tonnes for tuna fisheries. For this purpose, development of Seaweed Cluster has been notified and activities such as island-wise area allocation and leasing policy with end-to-end value chain by Lakshadweep Administration, formation of women Self Help Group (SHGs) and capacity building through ICAR Institution in collaboration with private entrepreneurs and Lakshadweep Administration, harnessing opportunities in tuna fishing and ornamental fish farming have been undertaken.
In the Union Budget 2025, the government increased the Kisan Credit Card (KCC) lending limit from Rs 3 lakh to Rs 5 lakh to enhance credit accessibility for fishers, farmers, processors and other fisheries’ stakeholders. This move aims at streamlining the flow of financial resources ensuring that necessary funds are easily accessible for fulfilling working capital requirements of the sector. Enhanced credit availability will support adoption of modern farming techniques and strengthen rural development and economic stability, reinforcing the government’s commitment to making institutional credit more inclusive and accessible.
To enhance India’s competitiveness in global seafood market and to increase the share of value -added products in our export basket, the Finance Minister proposed to reduce Basic Custom Duty (BCD) on frozen fish paste (surimi) from 30 per cent to 5 per cent for manufacturing and export of value-added seafood products like Imitation Crab Meat Sticks, Surimi Crab Claw Products, Shrimp analogue, lobster analogue and other surimi analogue or Imitation products etc. Further, to strengthen the Indian shrimp farming industry globally, import duty reduction from 15 per cent to 5 per cent on fish hydrolysate, an important input for manufacturing of aquafeed, has been announced. This is expected to lower production costs and increase revenue and profit margins for farmers, thereby improving and increasing exports.